Real Estate Sales - Is a Salary Based Compensation Plan in the Future?

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   fdoleacposted 15 years ago

   We are in a new real estate economy.  The consumer now controls the process and wants s higher standard of service which the real estate industry has not yet proven it can provide.
   
   There is a generational disconnect between the average Realtor (53 years old) and the average buyer (31).  The real estate industry needs to get younger.  The question is how do you attract a new generation of Realtors when the traditional model is broken?
   
   I believe that there is exceptional talent that would consider our industry if there was a base salary to work from.  This is now an option for companies that have lead generation, training and support.
   
   What is your view?

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2. 68

   lrohnerposted 15 years ago

   There's a world of difference between age and attitude. The real estate industry doesn't need to get younger in age, just in attitude. I have worked with thousands of Realtors from all over the country, and while a few want to do well, most want to do what's needed and not much more.
   
   And whether a base salary will attract younger people into the industry is a moot point right now, as I can't imagine any company getting that radical in this economy.

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      fdoleacposted 15 years agoin reply to this

      I agree that it is an attitude, but change is very difficult for this demographic.  Do you think a 31 year old would rather work with an agent in their age group who they can relate to?

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3. 61

   liuwenhuaposted 15 years ago

   I think generally this is happening to most business with direct sales model. It's so difficult to get younger employees to go on full commission. From the part of the world I am from, those who are willing to go on full commission that I encountered mostly are usually those in their late 40s retired, retrenched and doing it on part time basis.
   
   Family/peer pressure as well as up-bringing could be the source of  the issue. Parents of the X or later generation tends to cultivates "get a degree and find a stable job" mentality. So somehow or another the younger generation tends to be more reserve in getting a full commission job.

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      fdoleacposted 15 years agoin reply to this

      This economic climate may be a unique opportunity to test the model as there is a greater pool of job seekers expaniding their search.

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